Gold prices exceed the lower Fed foot decision

Gold prices are able to face the key point of inflection with the upcoming Fed Rat decision. And a FOMC meeting.
Bullon’s safe and sound dismissal is under the influence of Israel-Iran’s warfare.
Xau/USD withdrawal as a collection of an American dollar.

Gold prices are lower in relation to the US dollar (USD) on Tuesday, because traders digest mixed retail sales data in the USA and monitor escalation tensions in the Middle East.

At the time of writing, XAU/USD trades around USD 3376, and traders transfer concentration to the Wednesday decision of the Federal Reserve (FED) and accompanying a press conference.

Data on retail sales in the US for May showed a 0.9%decrease in sales on Tuesday, exceeding expectations, while sales, excluding cars, dropped by 0.3%. However, the control group associated with GDP increased by 0.4%, which indicates a significant level of consumption.

In the case of the Federal Reserve (FED), the data complicates the prospects of the principles. While the weaker numbers of headers strengthen the case of future rates, the company’s control group reflects immunity, potentially delaying any monetary relief.

Meanwhile, geopolitical risk still supports gold prices. According to the world gold (WGC) study, “2025 Central Bank Reserves” (CBGR), published on Tuesday, central banks have added over 1000 tons of gold a year over the last three years – more than twice as much than 400 to 500 tons seen in the previous decade.

The World Gold Council (WGC) emphasized that the recent raise in gold accumulation occurred in times of growing geopolitical tensions and economic uncertainty.

This trend emphasizes the growing faith in gold reliability as a magazine of value, which will probably continue to support Xau/USD.

Daily Digest Market Movers: Factors to observe gold

Israel’s conflict -IRran remains a key risk of growth of global inflation, especially due to the potential impact on oil supply and shipping. Acute escalation can raise energy prices, progress in disinflating and force central banks to raise interest rates for longer. This scenario can harm gold because it is in the face of competing inflation and higher results in the US.
With reports of fresh bullets and strokes of escalation drones fears of a wider regional war. Fears of the safety of the HORMUZ-CLUCAL GLOBAL CONSTRUCTION ROUNDS TRAPT TRACT TRAPTA READY FOR SAFE AFTERS, such as Gold, such as traders prepared for potential market interference.
US President Donald Trump stated on Tuesday in a post about the truth: “I did not contact Iran for” peace conversations “in any way, shape or form. It’s just more fabricated, false news! If they want to talk, they know how to reach me. “ He added that Iran “He should have participated in a table contract – he would save a lot of life.”
Markets reacted after Trump had previously called Iranian citizens to evacuate Tehran, warnings about further strikes. Israeli Prime Minister Benjamin Netanyahu repeated the message when Israeli raids continued to attack Iranian nuclear and military places. On Tuesday, the revolutionary guards of Iran confirmed modern missile attacks and drones to Israeli positions. The growing risk of a full regional war meant that XAU/USD climbs in the direction of USD 3,400.
On Wednesday, it focuses on the summary of the FED (SEP) economic forecasts and the Dot plot, which may reveal whether officials still anticipate one or two cuts of rates in 2025 or reduce the expectations of recent inflation threats.

Technical analysis: Golden bulls are rejected by resistance for USD 3,400

On the 4-hour chart, gold (Xau/USD) consolidates above the support zone 3,375-3380 USD, and prices lasts around USD 33,92.

The 20% Simple average mobility (SMA) at USD 3,408 limits the immediate position, while 23.6% Fibonacci The lead of the last rally offers $ 3371 service. Below 50 % SMA at 3,365 USD strengthens the key demand.

A break above $ 3,408 can lead to a re -test of a maximum monthly at 3,446 USD and USD 3,452. On the other hand, the lack of $ 3371 may reveal a deeper withdrawal compared to $ 3,292, 38.2% of Fibonacci level. The relative force indicator (RSI) floats near 50, which indicates a neutral rush with a place to stretch in both directions.

4-hour gold chart

Dot FAQ

“Dot plot” is the popular name of interest forecasts by the Federal Open Rynek Committee (FOMC) Federal Reserve (FED), which implements monetary policy. They are published in the summary of economic forecasts, a report in which FOMC members also release their individual forecasts regarding economic growth, unemployment rates and inflation this year and several more. The document consists of the interest screening chart, and the forecast of each FOMC member is represented by a dot. Fed also adds a table summarizing the range of forecasts and the median for each indicator. This makes it easier for market participants to see how decision -makers expect that the US economy will operate in a close, medium and long -term.

The US Federal Reserve publishes “Dot Fout” after each other meeting or in four out of eight annual planned meetings. The summary of the economic forecasts report was published with a monetary policy decision.

“Dok” gives a comprehensive insight into the expectations of federal reserve decision makers (FED). Since the forecasts reflect the projection of each official for interest rates at the end of each year, this is considered a key future -oriented indicator. Looking at the “Dot chart” and comparing data with current interest levels, market participants can see where decision -makers expect rates and the general direction of monetary policy. As the forecasts are issued quarterly, the “dot chart” is widely used as a guide to determine the pace of the terminal and the possible trading date.

The most moving data on the market in the “Dot plot” is the projection of federal funds. Any change compared to previous forecasts can affect the valuation of the American dollar (USD). Basically, if the “dot plot” shows that decision -makers expect higher interest rates in the near future, it is stubborn for USD. Similarly, if the forecasts indicate lower rates, USD probably weakens.